Deferred Charges
Instructions to the Commitment Offices
Payments made in the current fiscal year for services or goods to be received next fiscal year should be
processed as DEFERRED CHARGES. In addition, payments that are directly related to the delivery of
summer session classes are deferred. Deferring an expense involves processing the eSeePay DPV (Direct
Payment Voucher) or Purchase Requisition against a special deferred charges clearing fund rather than
the departmental fund indicated on the document. In the new fiscal year, the departmental fund will be
charged for these expenses. Please note that restricted sponsored programs (3XXXXX) and plant
construction (7XXXXX) funds do not have deferred charges.
The following expenses should be deferred:
• Athletics department payments to students for summer school board, beginning in late May.
• Expenses in excess of $500 that are directly related to the delivery of summer session classes.
For example, if a purchase requisition is processed for textbooks or materials to be used by students in a
summer institute or course, the fund number should be changed to the deferred fund. Direct summer
session expenses also include the honoraria paid by the College of Arts & Sciences and the School of
Education to summer institute instructors.
The administrative costs associated with operating the summer sessions office and recruiting students
(e.g., advertising and travel) are indirect to the delivery of class instruction, and not subject to
deferral.
• Deposits for events/speaker fees, where total cost of the event is in excess of $500, and the
event is scheduled after June 30.
For example, if a Purchase Requisition is processed for a retreat to be held in the new fiscal year, but a
deposit is required before the end of old fiscal year, the deposit should be processed to the deferred fund.
See below for additional instructions.
• Expenses for subscriptions/memberships/professional services in excess of $500, but less than
$5,000, where the preponderance of the benefit will occur after July 1.
For example, if a DPV is submitted for a yearly journal that starts in April, May or June, and is greater
than $500, then the charge is deferred. The Commitment Offices should first verify that a payment has
already been recorded to the current fiscal year, and then notify the department that the charge is to
be deferred.
Expenses less than $500 are considered immaterial and are not generally deferred unless specifically
requested by the department.
